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The Limping Standard |
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This section is from the book "Banking Principles And Practice", by Ray B. Westerfield. Also available from Amazon: Banking principles and practice.
The United States adopted bimetallism in 1792 and continued it with more or less success until 1873 when the free coinage of silver was given up; after a few years (1876) a limited coinage on government account with high seigniorage was adopted. In 1900 a system of gold monometallism was undertaken, but the old undervalued coins were left in circulation. A country thus having the concurrent use of two metals, one full legal tender and freely coined, the other full legal tender but not freely coined, is said to have a "limping standard."
 
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banking principles, metallic money, coinage, credit, bank operations, note holders, bank notes, depositors, cash reserve, marginal utility, price, federal reserve system, financial institutions, finance
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